Vodafone Idea Limited (IDEA.NS) stock analysis

In our weekly check, Vodafone Idea Limited is graded C (A to F). Of 23 checks on debt, profit, cash flow and trend: 11 pass, warnings: 4, red flags: 8.

About Vodafone Idea Limited

Vodafone Idea Limited is a Communication Services company (Telecommunications Services) based in India, listed on NSE as IDEA.NS.

What our checks show for IDEA.NS

Red flags

• Operating profit does not cover the interest bill (-0.1x): interest is paid from cash or new debt.
• The gross margin fell by 33.3 points, to 12.4%: costs are rising faster than prices.
• Operating cash flow is only 0.47x net profit: part of the reported profit does not arrive as cash.
• Weak EPS forecast
• Analysts expect the net margin to shrink by 107 points from today's 82.2%.
• The stock has fallen as much as 98% from a peak. Would you have held through that?
• The share count grew by 121% in 2 years: each shareholder owns a smaller slice.
• Return on capital (ROCE) is zero or negative: the business does not earn on the money put into it.

Warning signs

• Revenue grew only 2.6% a year over the last 3 years.
• Earnings per share fell 30.2% a year over the last 3 years.
• The price swings a lot: 44.2% annual volatility. Expect large ups and downs.
• The stock is still below its previous peak.

Strengths

• The net margin rose by 156 points over 5 years, to 82.2%.
• The company keeps 82.2% of its revenue as net profit.
• Free cash flow is 14.2% of revenue: cash for dividends, buybacks or growth.
• The price is 4.1 times earnings (P/E), reasonable for its growth.
• A large company: market value $13.49 billion.
• Beta 0.45: the stock usually moves less than the market.

Next earnings report: 2026-11-14

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Questions

What grade does Vodafone Idea Limited (IDEA.NS) have?

In our weekly check, Vodafone Idea Limited is graded C (A to F). Of 23 checks on debt, profit, cash flow and trend: 11 pass, warnings: 4, red flags: 8. The grade is a risk check, not a buy or sell recommendation.

What are the main risks of IDEA.NS stock?

This week's biggest flags for Vodafone Idea Limited: Weak interest cover, Gross margin falling, Profits not backed by cash. In total 12 of 23 checks show a warning or a red flag.

What does Vodafone Idea Limited do?

Vodafone Idea Limited is a Communication Services company (Telecommunications Services) based in India, listed on NSE as IDEA.NS.

When does Vodafone Idea Limited report earnings next?

The next earnings report is expected on 2026-11-14. We re-run the checks every week, so the grade can change after it.

The grade is a risk check, not a price forecast, and not investment advice. In our 10-year test (S&P 500, 2016-2026), stocks we graded A or B fell more than 30% 2-3 times less often than D or F, without a lower average return.

Updated 2026-10-31

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